Re:Get vested for time served
by BitGeek on Saturday April 21, 2007 @02:26AM
(#15401)
IF they were doing that much business, they shouldn't have taken venture capital--- but they, like most entreprenuers and people who get bad advice-- don't account for the real cost of venture capital.
That real cost is $24B in this case.
A quickly growing business can get funding from a variety of sources, many of which will take %6 payment, not require %600 and force you out of the business.
....but it sure is interesting to see all the different ways that VCs try to screw people-- re-vesting is something I saw in the past, and it didn't make sense to me then, but I have since come to understand just how asinine it is.
That real cost is $24B in this case.
A quickly growing business can get funding from a variety of sources, many of which will take %6 payment, not require %600 and force you out of the business.
....but it sure is interesting to see all the different ways that VCs try to screw people-- re-vesting is something I saw in the past, and it didn't make sense to me then, but I have since come to understand just how asinine it is.